BLBG:Russia’s Micex Slides 2nd Day in Three as Crude Drops Below $90
Russia’s Micex Index fell for the second day in three after oil slid below $90 as the International Energy Agency said it’s prepared to release more stockpiles, hurting the outlook for producers.
The 30-stock Micex dropped 0.5 percent to 1,625.42 by 10:59 a.m. in Moscow. Oil producers OAO Gazprom Neft and OAO Lukoil slipped 1.3 percent and 0.7 percent, respectively. OAO Uralkali (URKA), the country’s largest potash producer, decreased 1 percent. The dollar-denominated RTS Index lost 0.4 percent to 1,849.6.
Crude, Russia’s main export earner, declined as much as $1.34 to $89.82 a barrel in New York after the International Energy Agency said it’s prepared to take further steps to stabilize prices after a June 23 pledge to inject 2 million barrels a day for 30 days.
“A decline in oil prices may continue through November -- that means additional currency risk for ruble-denominated investments,” Elena Matrosova, a Moscow-based economist at BDO International, a financial adviser that lists the central bank among its clients, said in a telephone interview. “It’s not exactly the right time for investments in Russian equities.”
-- With assistance by Halia Pavliva in New York Editors: Alex Nicholson, Linda Shen
To contact the reporter on this story: Jason Corcoran at Jcorcoran13@bloomberg.net
To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net
